Chapter Four Household Expenditure ... - Government Of India

Instructions to Field Staff, Vol. I: NSS 72nd

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Chapter Four

Household Expenditure on Services and Durable Goods

Introduction

4.0.0.1 The survey on household expenditure on services and durable goods is planned to serve

certain specific data requirements of preparation of National Accounts. One part of the survey is

concerned with household expenditure on miscellaneous services. The other part is an enquiry

into expenditure by households on durable goods.

4.0.0.2 Household expenditure on services forms a significant part of Private Final

Consumption Expenditure (PFCE), which is an important macro-economic indicator derived

from national accounts statistics. From the 72nd

round survey, all-India estimates of per capita

and aggregate household expenditure are required for 23 categories of services listed below. The

coverage of the enquiry on services expenditure excludes educational and medical services, as

the data requirements of National Accounts on these services will be met by the NSS 71st round

survey on social consumption: health and education.

Sl. no. Service category

1. Rail transport

2. Air transport

3. Bus incl. tramways services

4. Taxi transport

5. Auto-rickshaws

6. Non-mechanized road transport

7. Water transport

8. Services incidental to transport

9. Communication

10. Recreation and cultural services

11. TV & radio services

12. Barber and beauty shops

13. Religious services

14. Funeral services

15. Sanitary services

16. Tailoring services

17. Legal services

18. Business services

19. Domestic services

20. Laundry, dry cleaning

21. Repair services

22. Other services n.e.c.

23. Hotels & Restaurants

Chapter Four Schedule 1.5: Household Expenditure on Services and Durable Goods


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4.0.0.3 Information on household consumer expenditure on services is conventionally collected

in the consumer expenditure surveys of NSS. The present survey aims at obtaining data through

a focused approach according to a classification suitable for meeting the requirements of the

framework adopted by the National Accounts.

4.0.0.4 The service category “hotels and restaurants” is, however, different from the consumer

services covered by the usual consumer expenditure survey of NSS. Apart from accommodation

services, the services coming under this category are mainly of preparation and serving of ready-

to-eat food (or ready-to-drink beverages). These include cooked meals provided by dhabas,

restaurants, food courts and cafetarias, tea and coffee served in tea and coffee shops, food

purchased from ice-cream vendors, cut-fruit sellers, snack bars and fast food stalls, etc.

4.0.0.5 The other macro-economic indicator to which data from this survey will contribute is

capital formation in the economy. Durable goods that have dual use, that is, use for both

consumption by households as well as for production by household enterprises, are termed

“partly capital goods” in national accounting. In households having entrepreneurial activity,

many household durables are widely used for both domestic and enterprise purposes. This survey

focuses on expenditure on such durable goods. It aims to estimate (a) the total value of

acquisition of these “partly capital goods” by households and (b) the value of such goods which

are primarily used by households for production of goods and services. Note that the term

“durable goods” covers a very wide range of articles including, among other things, vehicles,

furniture, computers, cellphones, crockery, equipment for recreation, and machines for

household work. Information on expenditure by the sample households during the last 365 days

will be recorded separately for 81 types of durables and their parts.

Schedule design: Schedule 1.5 consists of the following blocks:

Block 0 : descriptive identification of sample household

Block 1 : identification of sample household

Block 2 : particulars of field operations

Block 3 : household characteristics

Block 4 : demographic particulars of household members

Block 5 : transport expenditure incurred during overnight “round journeys” completed

during the last 30 days

Block 6 : transport expenses incurred for movements during the last 30 days that were

not part of overnight “round journeys”

Block 7 : expenditure on miscellaneous consumer services during the last 30 days

Block 8 : expenditure on repairs and maintenance of selected items, Annual

Maintenance Contract payments, hotel lodging charges, and other selected

services during the last 365 days

Block 9 : food expenditure in hotels and restaurants during the last 7 days

Block 10 : expenditure on durable goods acquired during the last 365 days other than

those used exclusively for entrepreneurial activity

Block 11 : remarks by investigator/ Assistant Superintending Officer

Block 12 : comments by supervisory officer(s)



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Block 0: Descriptive identification of sample household

4.0.1 This block is meant for recording descriptive identification particulars of a sample

household. All the items are self-explanatory. A dash (-) may be recorded against not applicable

items (e.g., village name is not applicable for urban sample).

Important differences from consumer expenditure survey in data collection procedures

Expenditure on services by the household is to be recorded for the service used for

domestic purpose. This applies to all services in Schedule 1.5, including repair services,

services provided by hotels and by restaurants and transport services. However, in cases

where an enterprise is operated by the household from the same premises where the

household is residing, total expenditure on consumption of services both by household

and enterprise will be captured. But if expenditure on a particular item of services is

incurred primarily for enterprise purposes, it will not be recorded

Expenditure on food purchased from hotels, restaurants, etc. is, in this survey, considered

as expenditure on services provided by the “hotels and restaurants” industry.

Expenditure on goods – except for durable goods and their parts – is excluded from the

survey coverage. Thus expenditure incurred on purchase of petrol and diesel is excluded

from transport expenses. Expenditure on purchase of film is excluded from expenditure

on photography services, and expenditure on purchase of pets is excluded from

maintenance of pet animals.

Repair of a durable good is NOT accounted in the durables block against the

corresponding item of durable goods. Depending on the nature of the durable repaired, it

is accounted in Block 7 (items 570-573) or Block 8 (items 680-681). (To be entered in

Block 7, the expenditure should have taken place in the last 30 days.) In addition,

maintenance charges for residential building are recorded in Block 8, item 680, and

Annual Maintenance Contract payments for durables in Block 8, item 682.

Purchase of durables is recorded in Block 10 for durables satisfying the following

conditions:

o The durable has come into the household’s possession during the last 365 days

(irrespective of when the payment for purchase was made);

o The durable is not intended to be used exclusively for entrepreneurial activity.



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Block 1: Identification of sample household

4.1.0 The identification particulars for items 1, 4-12 will be copied from items 1, 4-12 of Block

1 of the listing schedule (Schedule 0.0). The entries against items 2 and 3 have already been

printed in the schedule.

4.1.1 Item 13: sample hamlet-group/ sub-block number: This item is to be recorded from the

heading of Block 5B of Schedule 0.0.

4.1.2 Item 14: second-stage stratum: This item will be copied from Block 5B of the listing

schedule (Sch. 0.0) from the appropriate column heading – from among the columns (19) to (21).

4.1.3 Item 15: sample household number: This item will be copied from Block 5B of the

listing schedule (Sch. 0.0) from the appropriate column – from among the columns (22) to (24).

4.1.4 Item 16: srl. no. of informant (as in col. 1, block 4): The serial number of the person

recorded in column 1 of Block 4, Schedule 1.5, from whom the bulk of the information is

collected, will be entered. Information has to be collected from one of the household members.

In an extreme case, information may be collected from a person who is not a household member

but is expected to possess all the requisite information. In such a case, ‘99’ should be recorded

against this item.

4.1.5 Item 17: response code: This item is to be filled in at the end of the interview. It is

meant to classify the informant according to the degree of his co-operation as well as his

capability to provide the required information. The codes are:

informant: co-operative and capable……. 1 busy……………. 3

co-operative but not capable… 2 reluctant……… 4

others…………. 9

4.1.6 Item 18: survey code: Whether the originally selected sample household has been

surveyed or a substituted household has been surveyed will be indicated against this item by

recording ‘1’, if the sample household is the one originally selected, and ‘2’, if it is a substituted

household. If neither the originally selected household nor the substituted household could be

surveyed i.e., if the sample household is a casualty, code ‘3’ will be recorded. In such cases only

blocks 0, 1, 2, and the last two (remarks and comments) blocks will be filled in and on the top of

the front page of the schedule the word ‘CASUALTY’ will be written and underlined.

4.1.7 Item 19: reason for substitution of original household (code): In case the originally

selected sample household could not be surveyed, the reason for not surveying the original

household will be recorded against this item, irrespective of whether a substituted household

could be surveyed or not. The codes are:

informant busy 1

members away from home 2

informant non-cooperative 3

others 9

This item is applicable only if the entry against item 18 is either 2 or 3. Otherwise, this item is to

be left blank.



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Block 2: Particulars of field operations

4.2.1 The identity of the investigator/ assistant superintending officer and the supervisory

officer associated with the work, date of survey/inspection/scrutiny of schedules, date of

despatch, etc., will be recorded in this block against the appropriate items in the relevant

columns. Besides, from the 46th

round onwards, person codes of field officials have been

introduced which are to be recorded against item 1(ii) (for Central sample only). If canvassing

the schedule takes more than one day, the first day of survey is to be recorded against the item

srl. no. 2(i). The “total time taken to canvass the schedule” means the actual time spent in

canvassing the schedule and will not include the time taken by the investigator/ assistant

superintending officer to finalise the schedule. It is recorded in minutes.

Block 3: Household characteristics

4.3.0 Characteristics which are mainly intended to be used to classify the households for

tabulation will be recorded in this block.

4.3.1 Item 1: household size: The size of the sample household i.e., the total number of

persons normally residing together (i.e., under the same roof) and taking food from the same

kitchen (including temporary stay-aways and excluding temporary visitors) will be recorded

against this item. (See Chapter One, paragraphs 1.7.3 and 1.7.4.) This number will be the same

as the last serial number recorded in column 1 of Block 4.

4.3.2 Item 2: principal industry (NIC-2008): The description of the principal household

industry will be recorded in the space provided. The description of the principal industry should

be recorded in as specific terms as possible based on the description given by the informant. In

other words, the industry description should not be copied from the NIC booklet if the

informant’s description gives a clearer idea of the industrial activity which determines the

principal industry of the household. The entry cell for item 2 has been split into five parts for

recording each digit separately. The appropriate five-digit industry code of the NIC-2008 will be

recorded here. For households deriving income from non-economic activities only, a dash (-) may

be put against this item. For the definition of principal household industry see Chapter One,

paragraph 1.7.9.

4.3.3 Item 3: principal occupation (NCO-2004): The description of the principal household

occupation will be recorded in the space provided. As in case of principal household industry,

the description of the principal occupation, too, should be recorded in as specific terms as

possible based on the description given by the informant. In other words, the occupation

description should not be copied from the NCO booklet if the informant’s description gives a

clearer idea of the principal occupation pursued by the household. The appropriate three-digit

occupation code of the NCO-2004 is to be recorded in the entry cell, which has been trisected for



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recording each digit separately. For households deriving income from non-economic activities

only, a dash (-) may be put against this item. For the definition of principal household occupation

see Chapter One, paragraph 1.7.9.

4.3.4 Item 4: household type (code): The household type code based on the means of

livelihood of a household will be decided on the basis of the sources of the household's income

during the 365 days preceding the date of survey. (For the definition of household type, see

Chapter One, paragraph 1.7.7. Note that the codes are not the same for rural and urban areas. For

rural households, the household type codes are:

self-employed in agriculture 1

self-employed in non-agriculture 2

regular wage/salary earning 3

casual labour in agriculture 4

casual labour in non-agriculture 5

others 9

For urban areas, the household type codes are:

self-employed - 1, regular wage/salary earning - 2, casual labour - 3, others - 9.

4.3.5 Item 5: religion (code): The religion of the household will be recorded against this item

in code. If different members of the household claim to belong to different religions, the religion

of the head of the household will be considered as the religion of the household. The codes are:

Hinduism 1 Jainism 5

Islam 2 Buddhism 6

Christianity 3 Zoroastrianism 7

Sikhism 4 others 9

4.3.6 Item 6: social group (code): Whether or not the household belongs to Scheduled Tribes,

Scheduled Castes or Other Backward Classes will be indicated against this item in code. The

codes are:

Scheduled Tribes - 1, Scheduled Castes - 2, Other Backward Classes - 3, others - 9.

Those who do not come under any one of the first three social groups will be assigned code 9,

meant to cover all other categories. In case different members belong to different social groups,

the group to which the head of the household belongs will be considered as the ‘social group’ of

the household.

4.3.7 Item 7: whether owns any non-agricultural enterprise (yes-1, no-2): This question

also appears in Sch.0.0 in Block 5B (list of households and record of selection for households).

Here the question will again be put to the household and the answer recorded in code. The

definition of non-agricultural enterprise is given in paragraph 1.7.37. Households jointly owning

a non-agricultural enterprise on partnership basis with other households will get code 1.

4.3.8 Item 8: whether acquired any major durable goods through purchase during last

365 days (yes-1, no -2): This question will be put to all households. As mentioned in Chapter

One, the list of major durables is as follows:



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(a) Bicycles and motorised vehicles such as motor cars, motorcycles and tractors

(b) Computers, including desktop, laptop, notebook, netbook, palmtop, smartphone (but not

ordinary cellphones) and tablets

(c) Other household appliances running on electricity such as television, refrigerator, air

conditioner, air cooler, geyser & hot water system, microwave oven and water purifier

(d) Inverters/ generators

(e) Large furniture such as bedsteads, almirahs, etc. (excluding folding cots, cots with nylon

or rope as the base material)

4.3.9 Item 9: household’s usual monthly consumer expenditure (Rs.): This may be

ascertained as follows.

4.3.9.1 The question “What is your usual expenditure for household purposes in a month?” will

be put to the informant. Suppose the answer is Rs.A.

4.3.9.2 Next, the purchase value of any household durables (mobile phones, TV sets, fridge,

fans, cooler, AC, vehicles, computers, furniture, kitchen equipment, etc.) purchased during the

last one year will be ascertained and the expenditure per month obtained by dividing by 12. Let

this be Rs.B.

4.3.9.3 Further, it should be quickly ascertained whether there is (usually) any consumption

from (a) wages in kind (b) home-grown stock (c) free collection. If so, the approximate monthly

value of the amount usually consumed in a month will be imputed. Let this be Rs.C.

4.3.9.4 Then the sum of A+B+C is to be entered against item 9 in whole number of rupees.

Block 4: Demographic particulars of household members

4.4.0 All members of the sample household will be listed in this block. For each member, name,

relation to head, sex and age will be recorded.

4.4.1 Column (1): serial number: All the members of the sample household will be listed in

Block 4 using a continuous serial number in column (1). The head of the household will appear

first followed by head's spouse, the first son, first son's wife and their children, second son,

second son's wife and their children and so on. After the sons are enumerated, the daughters will

be listed followed by other relations, dependants, servants, etc.

4.4.2 Column (2): name of member: The names of the members corresponding to the serial

numbers entered in column (1) will be recorded in column (2).

4.4.3 Column (3): relation to head (code): The relationship of each member of the household

to the head of the household (for the head, the relationship is ‘self’) will be recorded in this

column in code. The codes are:



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self 1 grandchild 6

spouse of head 2 father/ mother/ father-in-law/ mother-in-law 7

married child 3 brother/ sister/ brother-in-law/

spouse of married child 4 sister-in-law/ other relatives 8

unmarried child 5 servant/ employees/ other non-relatives 9

4.4.4 Column (4): gender (male-1, female-2, transgender-3): The gender of each member of

the household will be recorded in this column. For definition of “transgender”, please see

Chapter Three, paragraph 3.1.4.4.

4.4.5 Column (5): age (years): The age in completed years of all the members listed will be

ascertained and recorded in this column. For infants below one year of age, ‘0’ will be entered.

Ages above 99 will be recorded in three digits.

Blocks 5 and 6: Transport expenditure

4.5.0.0 Transport expenditure incurred by the households will be recorded in this schedule for

the journeys undertaken by the members of household for domestic purpose. However, in cases

where an enterprise is operated by the household from the same premises where the household is

residing, total transport expenditure incurred both for household and enterprise will be captured.

But if expenditure on a particular item of transport services is incurred primarily for enterprise

purposes, it will not be recorded.

4.5.0.1 Expenditure on transport accounts for a large share of expenditure on services. It is

difficult for many informants to recall the transport expenditure of the household accurately,

especially if the household is a large household living in an urban area where many forms of

transport are available. In this schedule, efforts have been made to help the informant to recall

the transport expenditure of the household accurately with lower recall error than usual.

4.5.0.2 Under-reporting due to recall lapse is expected to be high in case of conveyance

expenditure because

(a) Routine conveyance expenditure is typically incurred throughout the month in small

amounts – an overall account of total expenditure on any given mode of transport may not

be maintained by anyone.

(b) Also, for some modes of transport (e.g. bus), expenses may be borne by household members

separately. Information for several members may have to be ascertained and put together,

for each such mode of transport.

(c) Reporting of expenditure on non-routine journeys (e.g. on vacation) involving large

expenditures is likely to be missed while reporting regular expenditures.

4.5.0.3 To tackle recall problems, the proposed schedule has two blocks to collect data on

transport expenses. One, Block 5, is for conveyance expenses incurred by the household on

completed overnight journeys (from home/station to home/station). Conveyance expenses

incurred on all other journeys, including expenses on regular commuting to work and school, are

covered in Block 6.



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Block 5: Transport expenditure incurred during overnight “round”

journeys completed during the last 30 days

4.5.0 In this block, the meaning of the term “overnight” will be the same as for Sch.21.1

(Domestic Tourism Expenditure Survey). See Chapter One, paragraph 1.7.20.

4.5.1 The concept of “round journey” is similar to the concept of “round trip” in the sense that a

round journey ends with return to one’s usual place of residence. Only transport expenditure

incurred while on overnight “round journeys” will be accounted in this block. Thus expenses for

daily commuting to school and workplace will be excluded, along with all other same-day trips.

4.5.2 Details of transport expenses incurred on all overnight “round” journeys completed during

the last 30 days will be recorded. That is, all transport expenses incurred during the period of

absence from residence will be recorded provided the period of absence ended during the

reference period of last 30 days. This will include, for instance, journeys performed for sight-

seeing in the vicinity of a tourist destination.

4.5.3 Expenditure on journeys undertaken as part of official tours will not be considered.

However, travelling to one’s workplace from one’s parental or ancestral residence, say, if it

involves an overnight journey, will be considered.

4.5.4 On the other hand, for a household member who is away on an overnight trip on the date

of survey, particulars of that member’s journeys starting from the moment when he left his

residence will not be recorded.

4.5.5 Expenditure will be the actual fare paid.

Expenditure incurred on journeys undertaken under LTC, etc., even if reimbursed, will be

included.

Expenditure on fuel for travelling by own conveyance will be excluded. So will driver’s

salary.

Expenses for journeys involving foreign travel will include travel expenses up to the first

point of alighting on foreign soil as well as travel expenses from the point of final boarding

on foreign territory for return to India, but will exclude all expenses on travel taking place in

between these two time points.

4.5.6 Horse cart fare (item 506) will include fare for travelling by any animal-drawn carriage.

The other items are self-explanatory.

Block 6: Transport expenses incurred for movements during the last

30 days that were not part of overnight “round journeys”

4.6.0 This block is for recording all expenses incurred by the household on transport services

that were not incurred as part of transport expenditure on overnight “round” journeys.



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4.6.1 Reference period: All expenditure incurred for journeys of this kind undertaken during

the last 30 days will be recorded in this block.

4.6.2 Item 512: bus fare for school, college, etc.: periodic (lumpsum) payment: When a

vehicle is arranged (by the school or other agency) for children to travel to school every day, the

payment for using such a vehicle is normally made periodically on a contractual basis (usually,

every month). Such payments for school/college bus, if made during the last 30 days by the

household, will be recorded against item 512. For the purpose of this item, ‘bus’ will include

school vans, jeeps and other four-wheelers used for this kind of service.

4.6.3 Item 513: bus fare for commuting to work: periodic (lumpsum) payment: Similarly,

there are vehicles which transport a fixed group of persons to work every day, with payments

made at regular (usually monthly) intervals. In case the household is availing of transport

services of this kind, the amount which the household is liable to pay for such services may be

apportioned to one month and the amount recorded against item 513.

4.6.4 Item 514: bus/tram fare for school, college, etc.: daily (miscellaneous) payments: For

those who travel by public bus or tram to school or college, payment is usually made on a daily

basis. The sum of such expenditures made during the last 30 days will be recorded against item

514.

4.6.5 Item 515: bus fare for commuting to work: daily (miscellaneous) payments:

Similarly, the total of expenses made on a daily basis for commuting to work by public bus or

tram will be recorded against item 515.

4.6.6 Item 516: bus hired for ceremonial occasion, picnic, etc.: Expenditure incurred by the

household for hiring a bus for a wedding or other ceremony, or for a picnic or other non-routine

journey, will be recorded against item 516.

4.6.7 Item 517: bus/tram: other journeys: Expenditure incurred for all other same-day bus

journeys and tram journeys will be recorded against item 517.

4.6.8 Item 522: rickshaw (hand-drawn & cycle) fare: This includes all cycle-drawn vans and

carriages, including those used for taking children to school.

4.6.9 The remaining items are self-explanatory. Note that expenditure on fuel for travelling by

own conveyance will be excluded. So will driver’s salary.

4.6.10 Horse cart fare (item 523) will include fare for travelling by any animal-drawn carriage.



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Block 7: Expenditure on miscellaneous consumer services during

the last 30 days

4.7.0.0 In this block, information will be collected on the expenditure incurred on various

consumer services by the household during the last 30 days prior to the date of survey.

Unless otherwise stated below, a “paid” approach will be followed.

The services may be consumed by members of the sample household, or members of other

households.

Many services such as photocopying services, telephone services, legal services and sanitary

services are used primarily for enterprises in case of households which have enterprises

located in place of their residence. These services should not be taken into account while

reporting expenditure on consumption of services in item of Block 7 (or Block 8 or Block 9).

However, in case of services which are used both for domestic purpose and for operating an

enterprise located in the same premises run by the same household (but not primarily for

enterprise purpose), total expenditure incurred on this service should be recorded against

items in Block 7 (or Block 8 or Block 9).

4.7.1 Item 530: domestic help/ maid/ sweeper: Wages paid to domestic help/ maid/ sweeper

will be recorded against this item. It will include the value of both cash and kind payment.

4.7.2 Item 531: cook, gardener, secretary: Similarly, in recording payment made for services

rendered by cooks, gardeners, etc., both cash and kind payments are to be considered.

4.7.3 Note: When meals prepared in the household are consumed by a domestic worker, the

valuation of the service provided by the servant will have to include not only cash payment but

also value of such meals (value to be imputed approximately at local prices). This is to be

remembered in recording wages paid to cooks, maids and other domestic workers.

Example 1: A household has a maid who is paid Rs.500 in cash and given a new sari worth

Rs.400 during the 30 days prior to the date of survey. Then the value of the maid’s services

consumed by the employer household will be shown as Rs.900 against item 530 irrespective of

whether the sari has been used by the maid or not.

Example 2: A household has a cook who receives meals prepared in the employer household

every day and the total value of meals thus received during the reference period is imputed as

Rs.300. The cook is paid a cash wage of Rs.500 during the reference month. Then the entry

against item 531 in the employer household will be Rs.800.

4.7.4 Item 533: attendant, babysitter, escort: By ‘attendant’ is meant a person engaged by the

household to look after an ailing member, or a child, or an aged person in the household.

However, medical services rendered by a nurse, even if performed within the household, will not

be recorded anywhere in this schedule. In case a person’s duties include those usually performed

by domestic servants as well as those of an attendant, the payment made to him/her may be



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recorded against item 530. Services of ayahs attending to household members will be recorded

here, irrespective of whether the household has engaged their services directly or through an

agency.

4.7.5 Item 540: barber: In case it is reported that barbers’ payments are made annually, as

happens in some villages, such annual payments should be apportioned over months and the

amount apportioned to one month recorded.

4.7.6 Items 540: barber; and item 541: beauty shops, spas: Payments made for hair cutting,

shaving, facial, massage, waxing, manicure, pedicure, make-up, dyeing of hair, etc. will be

recorded here.

4.7.7 Item 550: cable TV/ DTH charges: Expenses incurred on subscription to dish antenna,

cable TV facilities, etc. will be included here. The amount last paid divided by the number of

months for which payment is made will be enetred.

4.7.8 Items 570, 571 & 572: These items are for recording payments made for actual repairs of

non-motorized vehicles such as bicycles, electrical repairs, plumbing repairs, etc. during the last

30 days. Periodic or lumpsum payments made according to the terms of Annual Maintenance

Contracts for any piece of equipment will not be recorded here but in Block 8.

4.7.9 Item 573: Other repair and maintenance charges: Other repair and maintenance

expenses incurred during the last 30 days, excluding expenses on repair and maintenance of land,

building and motorized vehicles, and excluding payments made for Annual Maintenance

Contract, will be entered against this item.

4.7.10 Item 580: telephone charges: mobile: For mobile phones, only the actual expenditure

incurred during the month will be recorded, unlike the procedure for landline phones explained

in the next paragraph. This procedure is meant to simplify data collection. Expenditure incurred

on the purchase of a mobile phone will not be included here.

4.7.11 Item 581: telephone charges: landline: The following should be noted:

For domestically installed landline phones, the telephone bill last cleared divided by the

period in months for which it was charged (i.e., monthly average payable) will be

considered as the expenditure to be recorded even if the expenditure was not incurred during

the reference period of 30 days.

Security deposit made for the installation of telephone connection is excluded.

Cases of new telephone connections for which no bill has been paid till the date of survey

may be ignored. However, installation charges paid to the telephone department like labour

charges, cost of wire, etc. will be included under this item.

In addition, any expenditure incurred during last 30 days for making telephone calls from

STD/PCO booth or other shops on payment will be accounted here.



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4.7.12 Item 590: priest charges: If it is reported that the priest is paid annually as is done in

some villages, such annual payments should be apportioned over months and the amount

apportioned to one month recorded.

4.7.13 Item 600: photography services: Expenditure incurred on processing, developing, etc.,

of photographic film will be shown against this item.

4.7.14 Item 606: fireworks show: Purchase of fireworks will not be included here.

4.7.15 Item 607: maintenance of pets: Pet animals include cats, dogs, rabbits, monkeys,

mongoose, birds, fish, etc., but not farm animals or poultry. Maintenance expenses will include

cost of feed, treatment expenses, etc. Expenditure on purchase of pets will not be included here.

4.7.16 Item 652: miscellaneous expenses and fees: This item will include payments for

services of water tankers providing water for household use, application fees for employment,

etc. Insurance premium payments will NOT be recorded anywhere in Sch.1.5.

4.7.17 Item 679: sewage disposal and sanitation: Any amount paid to toilet cleaners,

zamadars, and sewerage cleaners should be entered here, including any amount paid to any waste

water treatment plant.

Block 8: Expenditure on repairs and maintenance of selected items,

Annual Maintenance Contract payments, hotel lodging charges,

and other selected services during the last 365 days 4.8.0 The reference period for this block is “last 365 days”.

4.8.1 Item 680: repair and maintenance: residential land and building: This will include (a)

minor repairs aimed at preserving the condition of residential land and building, and (b) the

annual maintenance charges payable by the household towards maintenance of facilities

managed by housing societies or flat-owners’ associations in housing complexes.

4.8.2 Item 681: repair & maintenance: motorized vehicles (incl. motorized 2-wheelers):

This item is for recording expenses incurred during the last 365 days on repairs actually carried

out on four-wheelers such as motor cars and tractors, as well as motorcycles and scooters.

Entries will exclude payments made under any Annual Maintenance Contract, which will come

under item 682. Expenditure on repairs of bicycles and other non-motorized vehicles during last

30 days will be reported against item 570 of Block 7.

4.8.2.1 Often work on a particular household durable (say, a car) involves both repair and

addition or replacement of components. Ideally, only repairs should be shown in this block,

while value of components should be recorded in Block 10. In case of consolidated payment for

work involving both repairs and replacement or addition of components, such separation of

expenditure may not be possible. In such cases, the entire amount should be shown as cost of



Round

D-14

component if, according to the understanding of the informant, it was the cost of the component

that accounted for the major part of the expenditure. On the other hand, if it was the cost of the

repair service received that contributed a larger share of the total cost, then the expenditure

should be entered against repairs.

4.8.3 Item 682: AMC charges for household durables: If a household has made an Annual

Maintenance Contract with a firm for maintenance of a durable which is yet to expire, then the

actual AMC charge apportioned to one year will be entered here if the contract period is more

than a year. (Example: If Rs.2800 has been paid as full payment to enter into a 4-year

Maintenance Contract, then Rs.700 will be entered.) If the contract period is less than a year and

is yet to expire, then the amount paid to enter into the Maintenance Contract will be recorded in

full without making any adjustment.

4.8.4 Item 683: hotel lodging charges: The lodging charges paid by any household member

during the last 365 days for short-term accommodation in a hotel, guesthouse, etc. will be

recorded under this item. Expenditure on hotel stay during official tours covered by travelling

allowance paid by the employer is excluded. Other personal services provided by hotels to

guests, such as laundry services, spa services, etc. should be reported against the specific service

category (laundry, beauty shops/spas, etc.) in Block 7.

4.8.5 Item 684: food consumed as residential guest in hotels: If possible, food expenses

incurred during stay in hotels and guesthouses should be entered agaist this item. If food charges

cannot be separated out from the hotel bill, then the entire amount paid to the hotel may be

shown against item 683.

4.8.6 Item 685: payments to event caterers (with or without payment for raw material):

This item is for recording payment made during the last 365 days made to caterers who are

engaged to arrange for food and drink for guests at parties, ceremonies, etc. Only payment for

food and drink is to be entered in this block and charges for entertainment, if arranged by the

same caterers, should be shown separately in Block 7, if incurred during the last 30 days. The

arrangement with the caterers may be that raw materials are to be provided by the household, or

it may be that the caterers themselves take charge of the task of procuring the raw materials. In

either case, the payment to the caterers will be recorded against item 685.

4.8.7 Item 686: pandal, hall hire, other hiring charges: Hiring charges for consumer goods

like furniture, electric fans, crockery, utensils and charges for decoration for parties and

ceremonies will be included here.

4.8.8 Item 687: legal services and expenses: This will include fees paid to lawyers, notaries,

etc. for services received from them. It excludes stamp charges, stamp duties, registration fees,

etc.



Round

D-15

Block 9: Food expenditure in hotels and restaurants during the last

7 days

4.9.0 This block will record expenditure on food and drink purchased from establishments

engaging in “hotel and restaurant” activity during the reference period. The food may be

consumed by members of the sample household, or members of other households. Food

consumed as residential guest of a hotel will, however, be accounted in Block 8 against item 684.

4.9.1 For most households, expenditure on food from “hotels and restaurants” is likely to be

irregular over time. To reduce recall error, a 7-days reference period is used.

4.9.2 The following may be kept in mind regarding the coverage of “hotels and restaurants” (in

Block 9, which is concerned with food expenditure):

(1) Purchase of food and drink from establishments (excluding trading establishments)

engaged in serving food or drink fit for immediate consumption, and not fit for storage

for re-sale, will be recorded in this block, even if the food has been taken home and

stored (say, in a refrigerator) and is yet to be consumed.

(2) Purchase of tea and coffee from tea and coffee shops, fruit juice from juice sellers, served

fruit and fruit chaat, and food and drink from dhabas, restaurants, parlours and bars,

snack bars and fast food stalls will all be covered in this block.

(3) The coverage is determined by the nature of activity of the food selling enterprise or

outlet. Those enterprises that mainly trade in food (that is, purchasing and re-selling food)

will not be considered. But all food purchased from the enterprises or outlets whose

major activity is to serve ready-to-eat food at its location will be considered.

(4) Purchases from fruit sellers who cut the fruit and serve it to customers will be included

(even if the fruit is packed and taken home), but purchase from those who merely trade in

fruit will be excluded.

(5) Retail sellers of food and beverages, including selling outlets of sweet manufacturers,

will also not be considered.

(6) Also, establishments preparing and selling food packets requiring further cooking before

consumption, such as frozen food, curry mixes or cereal mixes, or packaged food such as

pickles and jams meant to be consumed along with other food at home, are excluded.

The questions to be put to households to make entries in Block 9 will therefore have to explain

this coverage to the informant.

4.9.3 For this reason, the items of the block correspond to different kinds of shops or food

selling outlets, as follows.

4.9.4 Item 690: from tea/coffee shops: The expenditure incurred by the household during the

last 7 days on tea, coffee, biscuits, etc. from tea/coffee shops will be entered here.

4.9.5 Item 691: from hotels, restaurants, cafetarias, dhabas, parlours, bars: All expenditure

on meals, snacks and drinks purchased from restaurants, cafetarias, dhabas, parlours, bars, etc.

during the last 7 days will be recorded here even if the food or drink was consumed at home.



Round

D-16

4.9.6 Item 692: from preparers of parathas/ puris/ samosas/ patties/ burgers/ other fast

food: Fast food, tea/coffee, juice, etc. purchased during the last 7 days from stalls cooking and

selling fast food such as parathas, puris, samosas, patties, burgers, rolls, idlis, vadas, dosas, etc.

will be entered here, irrespective of whether the food or drink is consumed at the stall or taken

home for consumption.

4.9.7 Item 693: from ice-cream vendor, fruit juice seller, chaat seller, bhel puri seller, etc.:

Cost incurred on food or drink purchased from ice-cream vendors, fruit juice sellers, chaat

sellers, bhel puri sellers, etc. during the last 7 days will be entered here even if the food or drink

was taken home for consumption.

4.9.8 Item 694: from other outlets preparing and serving food (excluding re-sellers): Food

and drink fit for immediate consumption served from any outlet other than the above are to be

entered here. Outlets whose major activity is to sell food in the same form in which it is

purchased will not be considered. Examples of such exclusions are liquor shops that do not serve

liquor. The other exclusions noted in para 4.9.2, nos. (4) to (6), are to be kept in mind as well.

Block 10: Expenditure on durable goods acquired during the last

365 days other than those used exclusively for entrepreneurial

activity

4.10.0.0 In this block 81 different types of durable goods are listed. These goods are widely

used in India for household purposes. However, some households having non-agricultural

enterprises may use such goods partly for entrepreneurial activity.

4.10.0.1 For each of the goods listed in Block 10, the investigator will put the following

questions to the informant:

1. During the last 365 days, was the good, or any of its parts or components, acquired by the

sample household through purchase?

2. If so, was the good (or component) used wholly for entrepreneurial activity?

(Note that the good may have been purchased for the household’s own use, or for the use of

someone belonging to some other household. Therefore, the answer to the second question may

be ‘yes’ even if the sample household does not have any entrepreneurial activity.)

If the answer to Question 2 is ‘yes’, then no entry will be made in Block 10 against this item.

If the answer to Question 2 is ‘no’, it means that the durable good is used partly or wholly for

domestic purposes. If this is so, then the following particulars are to be entered against the

item concerned:

If the complete durable good is purchased (and not a component)

Col.3: no. purchased (wherever the cell for making entry is not shaded)

Col.4: value of the durable purchased



Round

D-17

Col.5: whether it is a first-hand or a second-hand purchase

If a component is purchased

Col.6: value of the component purchased

Col.7 (applicable for whole goods as well as components): whether the main use of the durable is

for domestic purpose or for enterprise (productive) purpose.

4.10.0.2 An illustrative list of major parts (components) of common durable goods is given on

page D-19.

4.10.0.3 Often work on a particular household durable (say, a car) involves both repair and

addition or replacement of components. If possible, only value of components should be shown

in this block, while repairs should be recorded in Block 8. In case such separation of expenditure

is not possible, the entire amount should be shown as cost of component if, according to the

understanding of the informant, it was the cost of the component that accounted for the major

part of the expenditure. On the other hand, if it was the cost of the repair service received that

contributed a larger share of the total cost, then the expenditure should be entered as repairs

against item 681. For durables other than motorized vehicles, if it is decided that repairs account

for the major part of the expenditure, the amount will be entered against item 571 or 573

provided it was paid during the last 30 days.

Reference period for Block 10

Durable goods or their components purchased by the household and not used

exclusively for entrepreneurial activity will be considered for making entries in Block

10 provided they came into the household’s possession during the last 365 days.

1. A durable that is yet to come into the household’s possession will not be considered for Block 10

even if full payment has been made.

2. A durable that has come into the possession of the household during the last 365 days will be

considered even if the payment is yet to be made, or was made more than 365 days ago.

3. In case of purchase financed by loan, it has to be ascertained whether the durable came into the

possession of the household during the last 365 days. If so, the full market value of the durable at

the time of purchase is to be entered here. Otherwise, nothing is to be entered.

4. Repayments (such as EMI’s) of loan taken to finance the purchase of consumer durables are not

to be considered for making entries in Block 10.

5. Suppose an asset which was purchased during the reference period for domestic use is reported to

have been sold out during the reference period. Such a purchase will not be accounted.

4.10.1 Item 732: water purifier: This item will include “Aquaguard”-type (filtration-cum-

ultra-violet radiation) purifiers as well as the older “filter candle” type (filtration only). It will

also include resin-based purifiers.



Round

D-18

4.10.2 Item 736: stove/cooking range/cooking appliances: This will include both oil stoves

and gas burners.

4.10.3 Item 737: other kitchen appliances: This will include ice-cream maker, juicer, etc.

4.10.4 Item 747: other equipment for recreation: music systems, recording devices, etc.:

Toys are not to be included here.

4.10.5 Item 760: bedstead: This is usually called a “cot” in India. It is the wooden or metal

structure on which the mattress or bedding of a bed rests. Its surface may be made of coir rope or

nylon. The item will include folding beds but not baby cots or perambulators.

4.10.6 Item 761: cabinet/almirah/dressing table: Full-size wardrobes will be included against

this item.

4.10.7 Item 766: carpet, other floor matting: This will include carpet, daree and other floor

mattings which are more or less fixed in position. Doormats, mats used as single-person seats,

and other small mats will not be included here.

4.10.8 Item 768: other furniture & fixtures: Waist-high (usually wooden) almirahs will be

included under this item. Kitchen cupboards (free-standing) and complete sofa-sets will also be

included.

4.10.9 Item 830: gold ornaments: If gold ornaments are purchased in exchange of gold and

some amount of cash, only the cash payment made will be taken into account. But if they are

purchased in lieu of cash or cash and kind (other than gold), the total value of cash/cash and kind

will be accounted.

4.10.10 Note: For many durables such as TV, refrigerator, etc., “exchange offers” are

frequently availed of by households. The household, by giving an old, used durable such as an

old TV set to a company, receives a new durable at a price lower than the market price. For such

transactions the household’s expenditure will be recorded as the market price (not the reduced

price) of the new durable, the expenditure being understood as incurred partly in cash and partly

in kind. Note that the approach followed for gold ornaments purchased in exchange of some gold

and some cash, as set out in the previous paragraph, is a special case which is not treated in the

same way as these exchange offers.

4.10.11 Item 833: other jewellery/ornaments: This will include imitation jewellery.

Block 11: Remarks by investigator (FI/ASO)

4.11.0 Any remark which is considered necessary for explaining any peculiarity in the data

reported by the household or any other characteristic of the household will be noted here. Such



Round

D-19

remarks will help understanding the entries made in different blocks of the schedule, especially

when any entry is very high or very low.

Block 12: Comments by supervisory officer(s)

4.12.0 The supervisory officers should note their views on any aspect relating to the household

and on any observed peculiarity in the expenditure pattern of the household.

Illustrative list of major parts (components) of common durable goods

(Block 10)

Code Durable Good Parts of Durable Good

702 motorcycle, scooter parts such as chassis, battery

703 motor car parts such as side car, parts, car air-

conditioner

704 other transport equipment: trolley, boat, mini-

bus, cart, van, etc.

parts such as cng/lpg kits, wheels,

chassis, battery, engine, clutch

710 electric fan parts such as fan motor, blades

716 air conditioner & air conditioning plants/units parts such as air compressor

718 generators/inverters parts such as battery

734 mixer/grinder parts such as blades

736 stove/cooking range/cooking appliances parts such as gas regulators & burners

740 radio parts such as tuner

741 television parts such as tuner, sub-assembly

743 camera & photo equipment parts such as photographic lens

755 musical instruments parts such as string

747 other equipments for recreation such as music

system, recording devices, etc.

parts such as docks, ports, adaptors

770 washing machines/ driers parts such as motor

782 PC/laptop systems parts & peripherals such as hard disk

drive, keyboard, motherboard, RAM

787 scanning/printing/photocopying equipment parts such as rollers, grippers

790 lantern, lamp, lampshade parts such as glass shells

803 harrows, sprinklers, cane cutting knife, etc. parts such as chaff cutter blade



Round

D-20

Frequently asked questions (FAQ) and their replies, Sch.1.5

Sl.

No. Block Item Col. Query Reply

(1) (2) (3) (4) (5) (6)

1 3 8 - The sample household G

purchased a bedstead to be given

to another household R as gift.

The furniture dealer was

instructed to send the bedstead

directly to household R. Should

the household G be considered to

have acquired the bedstead?

Yes, the bedstead will be treated

as if it was first acquired through

purchase by G and then gifted to

R, provided the dealer handed

over possession during the last

365 days.

2 3 9 - Should expenses like expenditure

in ceremony/ childbirth/

hospitalisation, etc. or one-time

expenditure like admission fee to

school, etc. be kept outside the

calculation of household’s usual

consumer expenditure?

Is consumer expenditure during

last 30 days prior to the date of

survey to be considered for this

item or the household’s usual

consumer expenditure in a

month?

A short-cut method has been

given in paragraphs 4.3.9.1 to

4.3.9.4. Using this method, like

using a one-shot question, will

not get the entire cons. exp. of

the hh. But it should be followed

so that too much time is not lost

on this item. This data will be

used to group the hhs by MPCE.

A rough grouping is good

enough.

Some households may be

willing to spend more time in

giving details of usual and

unusual expenditure. But later

they may be unwilling to give

time for details which are more

important for the objectives of

the survey. Also, it is important

to follow the same method for all

households. Therefore, the

instructions for item 9 should be

followed strictly. In particular,

except for durables, no attempts

should be made to record

unusual expenditures (e.g.

ceremony expenses,

hospitalization charges, annual

education payments, etc.).

3 3 9 - Will the imputed value of

consumption of items received

free (either from government,

such as free PDS Rice, free TV or

laptop, or from other households)

be included in item 9?

No.



Round

D-21


Sl.


(1) (2) (3) (4) (5) (6)

4 3 9 - A household has incurred a large

expenditure on account of

hospitalisation/marriage. Will

such exceptional huge

expenditure be counted for

calculating the usual consumer

expenditure?

No, since it is not usual.

5 3 9 - Will high expenditure on

education and hospitalization be

included in this item?

Usual expenditure does not

include hospitalization expenses.

If educational expenses are

usually incurred every month,

they will be taken.

6 3 9 - Will one-time expenditure in a

year be considered?

It should be considered only for

household durables.

7 3 9 - Advance paid to a rented building

amounting Rs. 25000/-. How to

report it? Whether to apportion or

report the whole amount?

This will not be taken in item 9.

8 5 - - If two household members are

reported to be away on an

overnight journey, how will their

expenses be recorded (a) if

nothing is known about their

transport expenses (b) if the

informant knows that Rs.9,000

has been spent on the rail fare to

their destination and back?

Since the journey has not been

completed, no attempt will be

made to record the expenses.

9 5 - - If it is reported that transport

expenditure for a holidaying trip

was Rs.15,000 but break-up by

mode of transport cannot be

given, how will entries be made

in Block 5?

As compilation of national

accounts requires break-up by

mode of transport, all efforts

must be made to get the

approximate break-up into rail

fare, air fare, taxi fare, water

transport fare, etc.

10 6 - - If a person commutes to his

workplace by car, where will the

cost of fuel be shown?

The cost of fuel (or lubricants,

etc.) will not be recorded

anywhere in Sch.1.5.

11 6 - - A household having a car has

entered into an arrangement with

two other households to send

their sons to school where each

household’s car is used on a

No entries are to be made

anywhere in this schedule for

this.



Round

D-22


Sl.


(1) (2) (3) (4) (5) (6)

different day by rotation. How

will the expenditure on transport

be shown in Block 6?

12 6 512 - Where will expenses for

travelling to school by pool car be

shown?

Against item 512.

13 6 517 - Where will bus fare incurred for

shopping be shown?

Against item 517.

14 6 517 - Where will bus fare paid by

mothers for travelling to school to

bring back their children be

shown?

Against item 514 or 517,

whichever is convenient.

15 5, 6 506,

523

- Where will fare paid for bullock

cart journey be shown?

Against item 506, if it is not part

of an overnight round journey,

and agaist item 523 otherwise.

16 - - - Where will insurance premium

payment be shown?

It will not be recorded anywhere

in Sch.1.5.

17 7 532 - Where will driver’s salary be

shown?

Against item 532 of Block 7.

18 7 540 - In villages, payment to barber

may be a once-a year affair. In

this case, what value is to be

recorded for amount spent earlier

than the reference period?

If it is reported that payment to

the barber is made annually,

expenditure during the last one

year should be apportioned to

one month and recorded.

However, where there is no such

system, the charges paid for

barber’s services during the last

30 days will be entered.

19 7 550 - If DTH charges have been paid

for a whole year, should the

expenditure actually incurred

during the last 30 days be

recorded regardless of the period

for which it is paid?

The amount last paid divided by

the number of months for which

payment is made should be

entered. The same procedure is

to be followed for landline

telephone charges.

20 7 560 - What value is to be reported for

the services of a dhobi for whom

the household gives yearly grains

instead of cash?

The imputed value of the grain

apportioned to one month.

21 7 607 - Will the price paid for a parrot be

included here?

No, only the cost of maintenance

including feed.



Round

D-23


Sl.


(1) (2) (3) (4) (5) (6)

22 7 631 - Will photocopying expenses

incurred for household enterprise

be recorded here?

Only if the enterprise is located on

the household premises, and if the

total photocopying/ legal

expenditure incurred by the

household is not primarily for

enterprise purpose.

23 8 682 - Under an AMC, a household is

required to pay Rs.2000 over a 5-

year period. What will be the

entry in item 682 (a) if the entire

amount has been paid at one

stroke (b) if the payment is made

annually in equal amounts?

In either case, the entry will be

Rs.400.

24 8 687 - Will legal expenses incurred for

household enterprise be entered

here?

Only if the enterprise is located on

the household premises, and if the

total photocopying/ legal

expenditure incurred by the

household is not primarily for

enterprise purpose.

25 8 683 - A person stayed in a hotel 9

months ago. His hotel bill

included food charges but he

cannot remember the food-

lodging break-up. Can the entire

amount be reported against item

683?

Yes, if lodging charges are

expected to be the major part of

the bill, and otherwise, against

item 684.

26 9 693 - Will purchase of bottled cold

drinks such as Coca-Cola be

recorded here?

No.

27 9 693 - A household purchased ice-cream

from a vendor, stored it in the

refrigerator and consumed it after

three days. Will the purchase be

recorded here?

Yes, since the vendor provides

ice-cream in a form suitable for

immediate consumption, and not

in a form suitable for re-sale by

the purchaser.

28 10 702 7 A man gave a motorcycle to his

daughter’s in-laws as dowry. He

does not know what use was

made of the motorcycle. What

entry will be made in the “main

use” column?

If the informant considers that

the motorcycle is more likely to

have been used for household

purposes than for enterprise

purpose, code 1 may be entered

in col.7.

29 10 741 4 A person purchased a TV for

household use but sold it off due

to financial difficulties. Will the

No.



Round

D-24


Sl.


(1) (2) (3) (4) (5) (6)

cost of the TV be entered in

Block 10?

30 10 - - Will a sewing machine received

free by the household as part of a

Government rural development

scheme be recorded in Block 10?

No, since it is not acquired

through purchase.

31 10 - - A household possesses a car

which it has just purchased with a

bank loan. The EMI payments are

to start from next month. Will the

purchase be recorded in Block

10?

Yes.

32 10 - - A household G purchased a

bedstead to be given to another

household R as gift. The furniture

dealer was instructed to send the

bedstead directly to household R.

In which household will the

details of the bedstead be

recorded?

In household G, provided the

dealer handed over possession

during the last 365 days. The

bedstead will be treated as

though it first came into the

possession of G and was then

sent to R.

Documents

Chapter Four Household Expenditure ... - Government Of India